AirTran makes strides in ancillary revenue growth

Washington DC
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AirTran Airways expects 30% growth in ancillary revenues for a total of $300 million.

Carrier CEO Bob Fornaro offered that projection today during a presentation at an investors conference. The estimated growth in ancilliaries for 2009 follows a 36% growth rate in 2008 to $233 million. AirTran's projected ancillary growth rate for 2009 includes new baggage fees introduced during the second half of last year. The carrier intiated the fee after rival Delta Air Lines took a similar measure.

Fornaro also says AirTran continues to diversify geographically, and that it expects to devote some 10% of its available seat miles this year to Milwaukee, its newest focus city. AirTran has announced a major expansion for the Wisconsin city. Fornaro also says that AirTran's Atlanta Hartsfield Jackson capacity will be down to about 60% of the total this year, from 62% last year.